AGRICULTURE: ADJUSTMENTS TO FRUIT AND VEGETABLES SECTOR IN PIPELINE.

The four problems the European Commission has agreed to tackle post-haste are, the rigid system for processed tomatoes, quota (threshold) levels for processed, tomatoes, pears and citrus fruit, simplifying the operation of the operational funds and ensuring better export refund management for fresh produce. The market organisation adjustments involve:- changing the current system for processed tomatoes (basing it on the sysystems in force for peaches/pears and citrus fruit)- raising the threshold levels for tomatoes (+10%), pears (+10%), ororanges, lemons and small citrus fruit (+10%), by offsetting the levels with a cut in the maximum level of citrus fruit that may be withdrawn and a 10% cut in aid for processed tomatoes;- simplifying administrative procedures for the operational fundsbyby setting a ceiling equal to 3% the value of the products marketed by each producer organisation, rather than the current ceiling of 4.5%. The second ceiling (2.5% of the value of the products marketed by all producer organisations) would be phased out.- tendering opportunities as a management system for export refunds for frfresh fruit and vegetables.Starting in the 1999/2000 marketing year, the maximum Community contribution for the operational funds is set 4.5% (against 4% in earlier years) of the value of products marketed by each producer group. The parallel funding...